麦格工业公司增发圈钱搞刚果项目了

UPDATE 1-MagIndustries to issue shares for working capital

Tue Feb 9, 2010 6:56pm GMT

TORONTO, Feb 9 (Reuters) - Canadian potash explorer MagIndustries Corp (MAA.TO: Quote, Profile, Research) plans an equity financing to raise working capital ahead of construction of its Mengo potash mine and production facility in the Republic of Congo, the company said on Tuesday.

The offering, for an as-yet undisclosed number of shares, is being co-led by Cormark Securities Inc and BMO Capital Markets (BMO.TO: Quote, Profile, Research)> in a group that includes Canaccord Financial Ltd (CF.TO: Quote, Profile, Research) and Jennings Capital Inc.

Stock in MagIndustries, which signed a project development agreement with China National Complete Plant Import and Export Co Ltd (Complant) on Feb. 1 to further the Mengo project, was down 7.7 percent at 48 Canadian cents at midday on Tuesday on the Toronto Stock Exchange.

The offering is scheduled to close on or about Feb. 24, the company said in a statement.

Costs for building potash mining and production facilities are typically very high and exploration companies are hard-pressed to find financing.

MagIndustries and Complant are due to sign a definitive agreement by July, following due diligence and certain milestones. A preliminary agreement between the parties provides for a $1.2 billion loan facility to MagIndustries repayable over a minimum of 10 years.

The plant, to produce 1.2 million tonnes per year of potash once production starts in 2012, will supply the crop nutrient to South America, South Africa, South Asia and Europe.

($1=$1.07 Canadian) (Reporting by Pav Jordan; editing by Peter Galloway)

钾肥项目一步步走向明朗